Our website uses cookies to improve your user experience. If you continue browsing, we assume that you consent to our use of cookies. More information can be found in our Cookies Policy and Privacy Policy.

Majority of marketers unhappy with mobile ads: report

Recently, Razorfish’s Paul Gelb suggested that the spend on mobile ads could soon surpass the spend on television ads, even though television advertising currently has a hundred-billion-dollar-plus lead.

There is, of course, good reason to believe that mobile advertising’s best days are ahead. Mobile penetration is significant, and smart phone penetration is growing rapidly.

But there are challenges. As I previously noted, “Mobile ads, on the other hand, may have some theoretical advantages, but
it’s clear that advertisers aren’t yet ready to throw tens of billions
of dollars at them annually. The inventory (not the medium) simply isn’t that attractive right now.“

A new study conducted by Relevancy Group on behalf of Pontiflex sheds some light on the value of the inventory. In surveying advertisers, it found that a sizable 43% won’t increase their mobile spend in 2011 because the ROI simply isn’t there. If it was, 93% would feel comfortable increasing their spend.

Where’s the ROI? According to the study, mobile advertising is failing advertisers because “advertisers have not been respectful of consumer behavior.” Click-based ads stand out, but they produce errant clicks. That upsets users, and also drives up the cost of advertising.

The solution: “with the high incidence of accidental clicks, marketers cannot continue to use traditional online ad units and measurement models.” To this end, Pontiflex is marketing “signup ads” which employ the pay-per-signup, not pay-per-click, model.

Will CPA prove to be the model that works on mobile? That remains to be seen. The big problem all mobile ad units will face is balancing usability and user experience without watering down ads so much that they’re totally ineffective. On this note, advertisers will need to better understand the mobile channel. Yes, the mobile is a powerful device through which massive audiences can be reached. But advertisers should keep in mind that the mobile is also a very personal device, making the potential to annoy far, far greater.

In the past few years, thanks to retailers and couriers offering more delivery options, deadlines for Christmas delivery have been getting later. However, the snow has thrown a spanner in the works, and some retailers are now bringing these dates forward.

For example, while Amazon had planned to promise Christmas delivery for orders placed up to December 23, it is now unable to offer any guarantees.

Depending where you live, you may still be able to order online and get items delivered by Christmas, but are online retailers informing customers effectively before they begin shopping?

The UK’s top 25 retailers have plenty of room for improvement in their social media and customer service strategies, with just 25% of those with a Twitter presence responding to customer questions through this channel.

This is one of the findings of the Auros Are you serious about social? study, which looks at how the top 25 UK retailers responded to queries on Twitter, Facebook, YouTube and blogs.